Market Analysis and Sales Development of Amul

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MARKET ANALYSIS AND SALES

DEVELOPMENT OF AMUL

A project submitted to

University of Mumbai for partial completion of the degree of

BACHELOR OF MANAGEMENT STUDIES

Under the Faculty of Commerce

SUBMITTED BY

MAHIMARAJ DURAISAMI

Roll no: 3175

Under the Guidance of

PROF.MANISHA JADHAV

PRAHLADRAI DALMIA LIONS

COLLEGE OF COMMERCE & ECONOMICS

SUNDER NAGAR, S.V. ROAD, MALAD (WEST)

MUMBAI 400 064

APRIL 2021
Prahladrai Dalmia Lions College of Commerce & Economics
Sunder Nagar, Malad (West), Mumbai, 400 064
ISO 9001: 2015 CERTIFIED

CERTIFICATE

This is to certify that MR. MAHIMARAJ DURAISAMI has worked and duly completed
his Project Work for the degree of BACHELOR OF MANAGEMENT STUDIES and his
project is entitled, MARKET ANALYSIS AND SALES DEVELOPMENT OF AMUL
under my supervision. I further certify that the entire work has been done by the learner
under the guidance and that no part of it has been submitted previously for any Degree or
Diploma of any University.

It is her own work and facts reported by her/ his personal finding and investigations.

Signature

PROF. MANISHA JADHAV

Date of Submission:
DECLARATION

I the undersigned MAHIMARAJ DURAISAMI here by, declare that the work embodied in
this project work titled “MARKET ANALYSIS AND SALES DEVELOPMENT OF
AMUL”, forms my own contribution to the research work carried out under the guidance of
PROF. MANISHA JADHAV is a result of my own research work and his/her not been
previously submitted to my other University for any other Degree/Diploma to this or any
other University.

Wherever reference has been made to previous works of other, it has been clearly indicated
as such and included in the bibliography.

I, here by further declare that all information of this document has been obtained and
presented in accordance with academic rules and ethical conduct.

Signature
(MAHIMARAJ
DURAISAMI)

Certified by

PROF. MANISHA JADHAV


ACKNOWLEDGEMENT

To list to who all helped me is difficult because they are so numerous, and the depth is so
enormous.

I would like to acknowledge the following as being idealistic channel and fresh dimension
and completion of project.

I take this opportunity to thank the University of Mumbai for giving me chance to do this
project.

I would like to thank my I/CPRINCIPAL, DR.KIRAN MANE and our VICE-


PRINCIPAL PROF. SUBHASHINI NAIKAR for providing the necessary facilities
required for completion of this project. I take this opportunity to thank our
COORDINATOR PROF. CA DURGESH KENKARE for his moral support and
guidance.

I would also like to express my sincere gratitude towards my project guide PROF.
MANISHA JADHAV whose guidance and care made the project successful.

I would like to thank my college library for having provided various reference books and
magazines related to my project.

Lastly, I would like to thank each, and every person directly or indirectly helped me in the
completion of the project, especially my Parents and my peers who supported me through
out of my project.

MAHIMARAJ DURAISAMI
INDEX
INTRODUCTION

n the year 1946 the first milk union


was established. This union was
started with 250
liters of milk per day. In the year
1955 AMUL was established. In the
year 1946 the union
was known as KAIRA DISTRICT
CO-OPERATIVE MILK
PRODUCERS’ UNION.
This union selected the brand name
AMUL in 1955.
The brand name Amul means
“AMULYA”. This word derived
form the Sanskrit
word “AMULYA” which means
“PRICELESS”. A quality control
expert in Anand had
suggested the brand name
“AMUL”. Amul products have
been in use in millions of homes
since 1946. Amul Butter, Amul
Milk Powder, Amul Ghee,
Amulspray, Amul Cheese, Amul
Chocolates, Amul Shrikhand, Amul
Ice cream, Nutramul, Amul Milk
and Amulya have made
Amul a leading food brand in India.
(The total sale is Rs. 6 billion in
2005). Today Amul is a
symbol of many things like of the
high-quality products sold at
reasonable prices, of the
genesis of a vast co-operative
network, of the triumph of
indigenous technology, of the
marketing savvy of a farmers'
organization. And have a proven
model for dairy development
(Generally known as “ANAND
PATTERN”).
n the year 1946 the first milk union
was established. This union was
started with 250
liters of milk per day. In the year
1955 AMUL was established. In the
year 1946 the union
was known as KAIRA DISTRICT
CO-OPERATIVE MILK
PRODUCERS’ UNION.
This union selected the brand name
AMUL in 1955.
The brand name Amul means
“AMULYA”. This word derived
form the Sanskrit
word “AMULYA” which means
“PRICELESS”. A quality control
expert in Anand had
suggested the brand name
“AMUL”. Amul products have
been in use in millions of homes
since 1946. Amul Butter, Amul
Milk Powder, Amul Ghee,
Amulspray, Amul Cheese, Amul
Chocolates, Amul Shrikhand, Amul
Ice cream, Nutramul, Amul Milk
and Amulya have made
Amul a leading food brand in India.
(The total sale is Rs. 6 billion in
2005). Today Amul is a
symbol of many things like of the
high-quality products sold at
reasonable prices, of the
genesis of a vast co-operative
network, of the triumph of
indigenous technology, of the
marketing savvy of a farmers'
organization. And have a proven
model for dairy development
(Generally known as “ANAND
PATTERN”).
n the year 1946 the first milk union
was established. This union was
started with 250
liters of milk per day. In the year
1955 AMUL was established. In the
year 1946 the union
was known as KAIRA DISTRICT
CO-OPERATIVE MILK
PRODUCERS’ UNION.
This union selected the brand name
AMUL in 1955.
The brand name Amul means
“AMULYA”. This word derived
form the Sanskrit
word “AMULYA” which means
“PRICELESS”. A quality control
expert in Anand had
suggested the brand name
“AMUL”. Amul products have
been in use in millions of homes
since 1946. Amul Butter, Amul
Milk Powder, Amul Ghee,
Amulspray, Amul Cheese, Amul
Chocolates, Amul Shrikhand, Amul
Ice cream, Nutramul, Amul Milk
and Amulya have made
Amul a leading food brand in India.
(The total sale is Rs. 6 billion in
2005). Today Amul is a
symbol of many things like of the
high-quality products sold at
reasonable prices, of the
genesis of a vast co-operative
network, of the triumph of
indigenous technology, of the
marketing savvy of a farmers'
organization. And have a proven
model for dairy development
(Generally known as “ANAND
PATTERN”).
Amul is an Indian state government cooperative under the ownership of Gujarat Cooperative Milk
Marketing Federation, Ministry of Cooperation, Government of Gujarat based at Anand in Gujarat.
 Formed in 1946, it is a cooperative brand managed by the Gujarat Cooperative Milk Marketing Federation
[3]
Ltd. (GCMMF), which today is jointly controlled by 36 lakh (3.6 million) milk producers in Gujarat, and the
apex body of 13 district milk unions, spread across 13,000 villages of Gujarat. Amul spurred India's White
Revolution, which made the country the world's largest producer of milk and milk products.

Kaira Union introduced the brand “Amul” for marketing its product range. The word “Amul” is derived
from Sanskrit word ‘Amulya’ which means ‘priceless’ or precious, a name proposed by then founding leader
of Agriculture College, Maganbhai Patel.

Tribhuvandas Kishibhai Patel under the guidance of Sardar Vallabhbhai Patel became the founding chairman
of the organization and led it until his retirement in the 70s. He hired Verghese Kurien in 1949 and
convinced him to stay and help with the mission. Under the chairmanship of Tribhuvandas, Kurien was
initially the general manager and helped guide the technical and marketing efforts of Amul. Kurien was the
chairman of Amul briefly after Tribhuvandas Kishibhai Patel died in 1994. Kurien, founder-chairman of the
GCMMF for more than 30 years (1973–2006), is credited with the success of Amul's marketing.
HISTORY
Amul cooperative was registered on 19 December 1946, as a response to the exploitation of marginal milk
producers by traders and agents in small cities. The prices of milk were arbitrarily determined at the time.
The government had given Polson an effective monopoly in milk collection from Kaira and its subsequent
supply to Mumbai.

Angered by the unfair trade practices, the farmers of Kaira approached Sardar Vallabhbhai Patel under the
leadership of local farmer leader Tribhuvandas K. Patel. He advised them to form a cooperative (Kaira
District Co-operative Milk Producers' Union) and supply milk directly to the Bombay Milk Scheme instead
of Polson (who did the same but gave them low prices). [14] He sent Morarji Desai to organise the farmers. In
1946, the milk farmers of the area went on a strike which led to the setting up of the cooperative to collect
and process milk.[13] Milk collection was decentralized, as most producers were marginal farmers who could
deliver, at most, 1–2 liters of milk per day. Cooperatives were formed for each village, too. [15] By June 1948,
the KDCMPUL had started pasteurising milk for the Bombay Milk Scheme. Then-Prime Minister Lal
Bahadur Shastri visited Anand to inaugurate Amul's cattle feed factory. On 31 October 1964, and spent a
night in village and spoke to farmers about their cooperative and after returning to Delhi he set in motion the
creation of an organization, the National Dairy Development Board (NDDB), to replicate the Kaira
cooperative in other parts of India.[16] Under the selfless leadership of Tribhuvandas Patel, in 1973, Amul
celebrated its 25th Anniversary with Morarji Desai, Maniben Patel and Verghese Kurien.

Under the leadership of Tribhuvandas Patel, the cooperative was further developed through the efforts of
Dr. Verghese Kurien[4] and H. M. Dalaya. Dalaya's innovation of making skim milk powder from buffalo
milk was a technological breakthrough that revolutionized India's organized dairy industry.
With Kurien's help, the process was expanded on a commercial scale [4] which led to the first modern dairy of
the cooperative at Anand. This cooperative would go on to compete against established players in the
market.

The trio's (T. K. Patel, Kurien and Dalaya's) success at the cooperative's dairy soon spread to Anand's
neighborhood in Gujarat. Within a short span, five unions in other districts
– Mehsana, Banaskantha, Baroda, Sabarkantha and Surat – were set up, following the approach sometimes
described as the Anand pattern.

In 1970, it spearheaded the "White Revolution" of India. To combine forces and expand the market while
saving on advertising and avoid competing against each other, the Gujarat Co-operative Milk Marketing
Federation Ltd., an apex marketing body of these district cooperatives, was set up in 1973. The Kaira Union,
which had the brand name Amul with it since 1955, transferred it to GCMMF.

In 1999, it was awarded the "Best of all" Rajiv Gandhi National Quality Award.

Technological developments at Amul have subsequently spread to other parts of India.

The GCMMF is the largest food products marketing organisation in India. It is the apex organisation of the
dairy cooperatives of Gujarat. It is the exclusive marketing organisation for products under the brand name
of Amul and Sagar. Over the last five and a half decades, dairy cooperatives in Gujarat have created an
economic network that links more than 3.1 million (3.1  million) village milk products with crores of
consumers in India. In 2007, Gujarat Cooperative Milk Marketing Federation Ltd., crossed US$ one Billion
in its sales turnover and entered the elite club of food companies having this distinction from India. [21] In one
more major achievement, the dairy cooperatives of Gujarat under the GCMMF fold crossed milk
procurement of 10 million kgs. per day mark on 27 December 2007, which is the highest ever milk
procurement achieved by any dairy network in India, be it private or cooperative and the entire quantity of
milk received was accepted without any milk holidays and was processed successfully into milk and other
milk products.

On 30 September 2018, Prime Minister Narendra Modi inaugurated Amul's chocolate plant in Mogar, Anand
near their headquarters. The new plant has been built with an increased capacity of 1,000 tonnes per month
against the earlier 250 tonnes a month capacity. GCMMF has invested around ₹3 billion for this project. It is
a fully automated production factory with minimal human intervention.

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